India and MERCOSUR have signed an additional protocol to recognise electronic Certificates of Origin under their Preferential Trade Agreement, paving the way for greater use of paperless trade documentation and updated customs procedures.
The First Additional Protocol was signed on September 14 by Commerce Secretary Rajesh Agarwal, along with Uruguay’s Ambassador to India Alberto Guani and Paraguay’s Ambassador Fleming Raul Duarte Ramos. Uruguay currently holds the Pro Tempore Presidency of MERCOSUR. Representatives of Argentina and Brazil also attended the signing.
The agreement modifies Article 16 of Annex III of the India-MERCOSUR PTA, which deals with rules of origin. Under the change, certificates issued electronically will have the same legal validity as their paper counterparts. They will have to be digitally signed and issued by authorised entities and officials in accordance with the domestic laws of the participating parties.
The India-MERCOSUR Preferential Trade Agreement was signed on January 25, 2004, and came into effect on June 1, 2009. It currently provides preferential tariff concessions covering 450 tariff lines from India and 452 tariff lines from the MERCOSUR side.
The move towards electronic certificates is expected to reduce paperwork involved in establishing the origin of traded goods. The government said digital documentation could also lower transaction costs and shorten the time required for issuing and verifying certificates under the existing trade agreement.
The decision follows discussions within the Joint Administrative Committee overseeing the PTA. At its fourth meeting on November 27, 2025, India and MERCOSUR agreed on the need to update the agreement to accommodate digital Certificates of Origin. The proposal was subsequently adopted by mutual consent at the committee’s fifth meeting on April 9, 2026.
The protocol will not take effect immediately. India and the MERCOSUR parties must first complete their respective internal procedures and formally notify one another of their completion.
The agreement represents an update to the administrative framework governing preferential trade between India and the South American bloc, particularly in the handling and verification of origin documentation.
Source:Press Release: Press Information Bureau
